Starting loans in default

[gothscorpion]

What is the name of your state (only U.S. law)? California
Good day, I've been told by many people that there is a current California statue/law that says its illegal to start any loan (no matter the type) in default. Is this true and if so, could you please tell me where is it stated. Thank you.

 

[latigo]

What is the name of your state (only U.S. law)? California
Good day, I've been told by many people that there is a current California statue/law that says its illegal to start any loan (no matter the type) in default.(?) Is this true and if so, could you please tell me where is it stated. Thank you.

Have you considered asking your "legal experts" as to how a loan might be in default even before it is "started"?

Or are you referring to refinancing a loan that is in arrears? In which case the availability would be governed by factors concerning the proposed borrower's eligibility and not limited or proscribed by law. Any of which might very well be struck down as impairing the obligation of contract.

 

[gothscorpion]

The loan was aquired by another company and the original loan company says its complete, I'm really am not allow to give out to much information. Im not looking to troubleshoot this, Just really would just like to get a answer if there is a law out there so i can do my own research thank you

 

[LdiJ]

The loan was aquired by another company and the original loan company says its complete, I'm really am not allow to give out to much information. Im not looking to troubleshoot this, Just really would just like to get a answer if there is a law out there so i can do my own research thank you

You are being so cryptic that nobody understands the question you are asking, so nobody can answer you whether or not there is a law that addresses it.

 

[STEPHAN]

Is this your loan or are you asking for somebody else?